The local Yusuf bin Ahmed Kanoo Grouphas announced the establishment of a new $30 million project to produce phthalic anhydride (PA) and maleic anhydride (MAN) in Jubail. The company says the project is at an advanced stage and will come on stream in 2003.
'We have completed the feasibility and are now evaluating technologies,' says Bader Kanoo, president of the company's petrochemical division. 'We have a foreign partner on board and a proven track record of petrochemical projects in the kingdom.'
The plant will have a capacity of 45,000 tonnes a year (t/y) of PA and 5,000 t/y of MAN using interchangeable technologies. The company says it has been granted a greenfield location for the plant in Jubail by the Royal Commission for Jubail & Yanbu (RCJ&Y), and will get feedstock from international companies. The company will market its products in Saudi Arabia and other Middle Eastern countries. Financing is now under discussion with banks and the Saudi Industrial Development Fund.
Kanoo is also looking at a polypropylene plant with a capacity of more than 500,000 t/y. Kanoo has completed a feedstock agreement with Saudi Aramcoand has been granted a greenfield Jubail site by RCJ&Y. Talks are also being held with a potential foreign partner.
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